State of Markets - ACT May 2012

AUSTRALIAN CAPITAL TERRITORY

Fast Figures

• 18.5%: December quarter residential building decrease (ABS)
• 0.6%: Canberra vacancy rate (SQM Research)
• 1,420: Number of dwellings sold in the ACT, February 2012 (RP Data)

Canberra attractive to retiree market

New projects will ensure that Canberra is an attractive prospect for the 20 per cent of the population set to retire in the next two decades.

The government recently announced spending of $1.39 million to upgrade bus stops to improve access for the elderly, while a private $65 million residential development for seniors is also in the pipeline.

These developments should be considered by investors looking for future growth, according to Housing Industry Association chief economist Harley Dale.

“If part of your homework doesn’t incorporate consideration of the potential implications of an ageing population for the area you might be considering investing in, then your homework is not complete,” Mr Dale said.

ACT’s Isaacs and Yarralumla had the highest median ages, at 47.3 and 45.8 years respectively.

Approvement process streamlined in Canberra

Canberra’s planning process for new developments has been significantly streamlined since 2011, according to the latest Property Council of Australia report card.

The ACT has seen an improvement in the planning system through a new online DA lodgement process which has seen 100 per cent of development applications lodged online, Minister for the Environment and Sustainable Development Simon Corbell said.

“I acknowledge particularly the commendation of the Property Council on the positive aspects of the report, including a ‘track-based' system and high take-up of easy to use ‘e-DA’ lodgements.

“There is always room for improvement, but overall, this snap shot of the ACT planning system is a good result,” he said.